Transcript Spatial arrangement of urban land uses

SPATIAL ARRANGEMENT OF
URBAN LAND USES
Land-rent mechanism
BID-RENT CURVES
BID-RENT THEORY
Economic consideration
 A comparison of bid-rent curves of various land
uses

Steepness
 Areal extent
 Peak land value


It gives rise to different land use zones
COMPARISON OF RESIDENTIAL
UNITS
Location
Average rent ($/ft)
Central District
$34/ft
Western District
$22/ft
Happy Valley
$29/ft
Yuen Long
$9/ft
Tung Chung
$7/ft
BID-RENT CURVES
Different bidding power / rental capacity on
the land market
 Tolerance of increasing distance from the city
centre

AT THE CITY CENTRE
Highest accessibility
 Transport cost ↓
 Demand for land ↑
 But land is in short supply
 Competition ↑
 Bid-rent ↑

FARTHER AWAY FROM THE CITY
CENTRE
Lower accessibility
 Transport cost ↑
 Demand for land ↓
 But land is in abundant supply
 Competition ↓
 Bid-rent ↓

CONCENTRIC RINGS OF LAND USE
PATTERN
SPATIAL ARRANGEMENT
OF URBAN LAND USES
Accessibility
RELATIONSHIP BETWEEN LAND
RENT AND ACCESSIBILITY
Land rent / value is essentially a reflection of
accessibility.
 It is to indicate the ease or difficulty in getting
from one place to another.
 It may refer to cars, roads and public transport on
roads / railways.
 In recent years, travelators are used to increase
accessibility and thus extending the land use zone to
farther areas.

TRAVELATOR
AREAS WITH MAXIMUM
ACCESSIBILITY
At the city centre / point of centrality
 It is the point closest to all other parts of the city

AREAS OF HIGH ACCESSIBILITY

Usually the focus of transport network
AREAS OF HIGH ACCESSIBILITY

Along major transport routes
AREAS OF HIGH ACCESSIBILITY

At major traffic intersections
HORIZONTAL DISTANCE DECAY
Areas of high land value (highly-accessible)
 Areas of low land value (less accessible)

DISTORTION OF THE BID-RENT
CURVES
High accessibility can
increase the areal
extent of the land use
 It reduces the
gradient of the bidrent curve, i.e. more
gentle bid-rent
curve.

DISTORTION TO THE BID-RENT
CURVES
Generally, land rent
decreases with
increasing distance
from the city centre.
 However, the simple
cone with a single
peak of high land
value at the city
centre seldom exists.

DISTORTION TO THE BID-RENT
CURVES




Ridges of high land
value may form along
major highways or
railway lines
Their presence
produces ridges of
high accessibility
This bids up the land
value
Examples: Eastern
Island Corridor / MTR
Island Line leads to the
formation of middleincome residential area
DISTORTION TO THE BID-RENT
CURVES




Secondary peak of
high land value can
be found at points of
high accessibility away
from the city centre.
They’re usually route
intersections or
transport nodes
It gives rise to
regional commercial
centre / large shopping
malls.
Examples: Festival
Walk, Shopping malls
in Causeway Bay and
Mongkok
SECONDARY PEAK LAND VALUE
Secondary peak of
high land value can
also be found at the
periphery of the
city where junctions
of major ring roads
exist
 The relative more
accessible areas are
usually occupied by
low-density
commercial or
residential zones

HYPERMARKETS FOUND ALONG
HIGHWAYS
VERTICAL DISTANCE DECAY
EFFECT
The farther away from the
ground, the lower the
accessibility
 As people take time to
travel from the ground to
upper floors despite the
development of elevators
 Generally, the land rent is
higher near the ground
floor and lower near the
upper floors.

VERTICAL DISTANCE DECAY
EFFECT
The basement and the
ground floor are usually
the most accessible
locations for shoppers
 Supermarkets and food
courts are usually found
there for the customers’
convenience.
 These retail activities
have higher profitability
which can afford the high
land rent.

VERTICAL DISTANCE DECAY
EFFECT
The accessibility decreases
towards the upper floors.
 Shops / retail activities
usually occupy the first
few floors due to relative
higher accessibility and
pedestrian flow. The
location can attract large
pool of customers
especially from office
blocks nearby.

VERTICAL DISTANCE DECAY
EFFECT
The upper floors are
mainly dominated by
offices which do not rely on
high pedestrian flow.
 In short, a vertical
distance decay effect is
observed.

EXCEPTIONS
The top floor is
occupied by expensive
restaurants as they
have the best view of
the town.
 The rent is higher
than other floors due
to better view.
 Examples: high-class
restaurants in Taipei
101, Peking Road 1

GINZASTYLE
SHOPPING
CENTRE
CONCLUSION
Land rent is a crucial factor to explain the
horizontal and vertical distance decay effect
in urban area
 It is greatly influenced by accessibility
 Accessibility in a shopping mall can be
enhanced by speedy and efficient travelator
and elevator systems

ARE LAND USE
ARRANGEMENTS SOLELY A
MATTER OF ECONOMIC
CONSIDERATION?
Are there other factors determining land use
arrangements?
FACTORS INCREASING LAND RENT
Good sea view / scenic view can bid up the
land rent
 Examples: concentration of high-income
residential areas in Southern District despite its
poor transport network
 Places of high altitude can also bid up the land
rent
 Examples: high-income residential areas are
found on the Peak / Ho Man Tin

OTHER FACTORS DISTORTING BIDRENT CURVES



Bid-rent is reduced by
poorer local
environmental factors,
e.g. near sources of pollution
– near sewage treatment
plants, incinerators, landfill,
power plants, polluting
industrial areas
It produces trough of low
land value
Examples: NW New
Territories / Tuen Mun has a
high concentration of power
plants, incinerators and
industrial land use. Middleincome residential areas are
nearly absent in the vicinity.
CONCLUSION
Bid-rent theory is useful to explain the areal
specialisation of land use in modern cities
 It can also be used to explain the distribution
pattern of high-order and low-order retail
activities in relation to accessibility
 Bid-rent is a function of accessibility
 Land use arrangement is largely determined by
economic factors
 However, other factors are also influential, e.g.
institutional factors, historical factors and social
factors.

DISCUSSION
EXPLAIN THE PRESENCE OF MIDDLEINCOME RESIDENTIAL ZONE IN THE
NORTHERN SHORE OF EAST HONG KONG
ISLAND.




The middle-income residential zone represents a ridge
of high land value due to the improvement of
accessibility
The frequent service of MTR Island line and speedy
bus service along Eastern Island Corridor (highway)
increase the accessibility of the area
The middle-income group also has high degree of
private car ownership
Office workers tend to live further away from the
city centre, extending the areal extent of such land
use as they look for better living environment which at
the same time enjoy high accessibility
EXPLAIN THE PRESENCE OF RETAIL
ACTIVITIES IN CAUSEWAY BAY AND
MONGKOK







These areas enjoy high accessibility as they are junctions of
major highways and railway lines.
Causeway Bay: junctions of Cross Harbour Tunnel (north),
Aberdeen Tunnel (south), Eastern Island Corridor + MTR
Island Line (east), highway along the coast (west)
Mongkok: junctions of Argyle Street, Nathan Road, Waterloo
Road
The high accessibility attracts customers and induces high
pedestrian flow and high traffic flow
The large market ensures a higher economic rent for
retail activities
The high accessibility bids up the land price, creating a
secondary peak of high land value
Commercial land use outbids other land uses and becomes
dominant in the area and forms a regional commercial
district
THE LAND USE CHANGES IN QUARRY
BAY TAI KOO AREA EXPERIENCED IN
THE PAST 20 YEARS.






A gradual trend from industrial zones to major commercial
centres
Improvement in accessibility due to construction of Eastern
Island Corridor, MTR Island Line and Tseung Kwan O
Line (enhanced linkage with CBD, urban Kowloon and new
town)
Forming secondary peak of high land value
Office and commercial functions require centrality to
maximize profits and the bid-rent curves are therefore
steeper
The improved accessibility has bided up land price in
Quarry Bay Tai Koo area, making industrial land use less
profitable
As a result, industrial land use is out-bided by
commercial land use. Soon, an agglomeration of
commercial buildings is formed.
THE HIGH CONCENTRATION OF LOWDENSITY RESIDENTIAL AREAS IN
NORTH NEW TERRITORIES.
Development of highway systems in the New
Territories improves accessibility, e.g. San Tin
Highway, Tolo Harbour Highway
 With the increasing private car ownership,
people are attracted to live further away from the
city centre
 Therefore, residential land use has greater
areal extent towards the periphery of the city.
